Canada’s largest stainless steel distributor says a new Canadian tariff on stainless steel will heavily impact the cost of infrastructure projects.
“I won’t say the job but it was a $2 million order of stainless steel for a plant in Toronto, and now it will cost $2.5 to 3 million just for the raw costs, and that is just one project of thousands across the country,” Shane Gough, the general manager of Pinacle Stainless Steel, told CTV News on Monday.
Gough said his company’s clients, which include municipalities across the country, are facing massive price hikes on stainless steel orders, adding that they – along with taxpayers – will pick up those extra costs, if it’s a municipal job.
“I think every single client is concerned. They took this order a year ago and now they will face these added costs,” he said.
The issue is related to the government of Canada implementing tariff rate quotas this summer on imports of steel mill products from non-free trade agreement partners.
At Pinacle’s Mississauga location, pipes imported from Taiwan are cut up, molded, and prepared for use in critical infrastructure projects nationwide.
